A normative economic statement is:
A) a statement of fact.
B) a statement of opinion which advocates a particular position.
C) not acceptable in the economics profession.
D) the only acceptable manner to present economic information.
E) a statement based upon government-supplied information.

Question

Quizplus · Accepted Answer

A normative economic statement is a statement of opinion which advocates a particular position. It is subjective and cannot be proven true or false. Unlike positive economic statements, which can be tested and verified as true or false, normative statements rely on value judgments and reflect the speaker's beliefs and values. While normative statements are not always appropriate in economic analysis, they can be useful in debates over economic policy and in expressing opinions about what ought to be done.

A Normative Economic Statement Is